THE TEXTILES COMMITTEE ACT, 1963 

 ________________  

ARRANGEMENT OF SECTION  

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SECTIONS  

1. Short title, extent and commencement.  

2. Definitions.  

2A. Construction of references to any law not in force, or any functionary not in existence, in the State of 

Jammu and Kashmir.  

3. Establishment of Textiles Committee.  

4. Functions of the Committee.  

5. Powers of the Committee.  

5A. Imposition of cess on textiles and textile machinery manufactured in India.  

5B. Constitution of Tribunal.  

5C. Hearing of appeals by Tribunal. 

 5D. Recovery of duty of excise.  

5E. Power to exempt.  

5F. Payment of proceeds of cess to the Committee.  

6. Grants by Central Government to the Committee. 

 7. Constitution of Fund. 

 8. Standing or ad hoc Committee.  

9. Officers and other employees of the Committee.  

10. Transfer of service of existing employees to the Committee  

11. Inspection.  

12. Levy of fees for inspection and examination.  

13. Accounts and audit. 14. Delegation of powers and duties. 

 15. Acts or proceedings of Committee not to be invalidated.  

16. Officers and employees of the Committee to be public servants.  

17. Power to prohibit exports and internal marketing of textiles and textile machinery.  

18. Offences by companies. 

 19. Procedure for prosecution.  

20. Jurisdiction of courts. 

 21. Protection of action taken under the Act.  

22. Power to make rules.  

23. Power to make regulations.  

24. Repeal and Saving. 

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THE TEXTILES COMMITTEE ACT, 1963 

ACT NO. 41 OF 1963 

[3rd December, 1963.] 
An Act to provide for the establishment of a Committee for ensuring the quality of textiles and 

textile machinery and for matters connected therewith. 
BE it enacted by Parliament in the Fourteenth Year of the Republic of India as follows:— 
1.  Short  title,  extent  and  commencement.—(1)  This  Act  may  be  called  the  Textiles  Committee    

Act, 1963. 

(2) It extends to the whole of India 1*      *     *. 
(3)  It  shall  come  into  force  on  such  date2,  as  the  Central  Government  may,  by  notification  in  the 

Official Gazette, appoint. 

2. Definitions.—In this Act, unless there is anything repugnant in the subject or context,— 

(a) “Chairman” means the Chairman of the Committee. 
(b) “Committee” means the Committee established under section 3; 
3[(ba) “fiber” means man-made fiber including regenerated cellulose rayon, nylon and the like.] 
(c) “Fund” means the Textile Fund referred to in section 7; 
3[(ca)  “handloom  industries”  has the  meaning  assigned  to  it  in the  Khadi  and Other  Handloom 

Industries Development (Additional Excise, Duty on Cloth) Act, 1953 (12 of 1953);] 

(d)  “member”  means  a  member  of  the  Committee  and  includes  the  Chairman  and  the              

Vice-Chairman; 

3[(da) “powerloom” means a loom which is worked by power as defined in clause (g) of section 2 
of the Factories Act, 1948 (63 of 1948), and which is used or capable of being used only for weaving 
cloth wholly or partly out of cotton yarn or woollen yarn, or fiber, or any kind of mixed yarn; 

(db) “powerloom industry” means an industry in which a manufacturer of textiles has, at any time 
during the period fixed by the Committee under clause (a) of sub-section (5) of section 5A, not more 
than fifty powerlooms (without any spinning plants) in the factory or factories owned, controlled or 
managed by him. 

Explanation.—For the purposes of this clause, the expression “factory” has the meaning assigned 

to it in the Factories Act, 1948 (63 of 1948):] 

(e) “prescribed” means prescribed by rules made under this Act; 
(f) “textile machinery” means the equipment employed directly or indirectly for the processing of 
textile fiber into yarn and for the manufacture of fabric therefrom by weaving or knitting and includes 
equipment used either wholly or partly for the finishing, folding, or packing of textiles; 

4[(g) “textiles” means any fabric or cloth or yarn or garment or any other article made wholly or 

in part of— 

(i) cotton; or 
(ii) wool; or 
(iii) silk; or 

(iv) artificial silk or other fiber, 

and includes fiber;] 

(h) “Vice-Chairman” means the Vice-Chairman of the Committee. 

1. The words “except the State of Jammu Kashmir” omitted by Act 51 of 1973, s. 2 (w.e.f. 1-1-1975). 
2.  22nd  August,  1964,  vide  notification  No.  S.O.  2913(E),  dated  the  22nd  August,  1964,  see  Gazette  of  India,  Extraordinary,               

Part II, sec. 3(ii). 

3. Ins. by Act 51 of 1973, s. 3 (w.e.f. 1-1-1975). 
4. Subs. by s. 3, ibid., for clause (g) (w.e.f. 1-1-1975). 

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1[2A.  Construction of references to any law not in force, or any functionary not in existence, in the 
State  of  Jammu  and  Kashmir].—Omitted  by  the  Jammu  and  Kashmir  Reorganization  (Adaptation  of 
Central  Laws)  Order,  2020,  vide  notification  No.  S.O.  1123(E)  dated  (18-3-2020)  and  Vide  Union 
Territory  of  Ladakh  Reorganisation  (Adaptation  of  Central  Laws)  Order,  2020,  notification  No. 
S.O.3774(E), dated (23-10-2020). Earlier ins. by Act 51 of 1973, s. 4 (w.e.f. 1-1-1975). 

3. Establishment of Textiles Committee.—(1) The Central Government shall, by notification in the 
Official Gazette, establish with effect from such date as may be specified in the notification, a Committee 
to be known as the Textiles Committee, which shall be a body corporate having perpetual succession and 
a  common  seal  with  power  to  acquire,  hold  and  dispose  of  property  and  to  contract  and  may,  by  that 
name, sue or be sued. 

(2) The Head Office of the Committee shall be in Bombay. 

(3) The Committee shall consist of— 

(a) a Chairman to be appointed by the Central Government; 

(b) a Vice-Chairman who shall be the Textile Commissioner, ex officio; 

(c)  a  Joint  Secretary  to  the  Government  of  India  to  be  appointed  by  the  Central  Government,       

ex officio; 

(d) such other members as the Central Government may think fit to appoint who, in the opinion of 
that  Government,  have  special  knowledge  or  practical  experience  in  matters  relating  to  the  textile 
industry and trade and the manufacture of textile machinery. 

4.  Functions  of  the  Committee.—(1)  Subject  to  the  provisions  of  this  Act,  the  functions  of  the 
Committee  shall  generally  be  to  ensure  by  such  measures,  as  it  thinks  fit,  standard  qualities  of  textiles 
both for internal marketing and export purposes and the manufacture and use of standard type of textile 
machinery. 

(2) Without prejudice to the generality of the provisions of sub-section (1), the Committee may— 

(a)  undertake,  assist  and  encourage,  scientific,  technological  and  economic  research  in-textile 

industry and textile machinery, 

(b) promote export of textiles and textile machinery and carry on propaganda for that purpose; 
2[(c) establish or adopt or recognise standard specifications for— 

(i) textiles, and 

(ii) packing materials used in the packing of textiles or textile machinery,  

for  the  purposes  of  export  and  for  internal  consumption  and  affix  suitable  marks  on  such  standardised 
varieties of textiles and packing materials;] 

(d)  specify  the  type  of  quality  control  or  inspection  which  will  be  applied  to  textiles  or           

textile  machinery; 

3 [(da)  provide  for  training  in  the  techniques  of  quality  control  to  be  applied  to  textiles  or             

textile  machinery;] 

(e) provide for the inspection and examination of— 

(i) textiles; 

(ii) textile machinery at any stage of manufacture and also while it is in use at mill-heads; 
3[(iii) packing materials used in the packing of textiles or textile machinery;] 

(f) establish laboratories and test houses for the testing of textiles; 

(g)  provide  for  testing  textiles  and  textile  machinery  in  laboratories  and  test  houses  other  than 

those established under clause (f); 

1. Ins. by Act 51 of 1973, s. 4  (w.e.f. 1-1-1975). 
2. Subs. by s. 5, ibid., for clause (c) (w.e.f. 1-1-1975).  
3. Ins. by s. 5, ibid. (w.e.f. 1-1-1975). 

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(h) collect statistics for any of the above mentioned purposes from— 

(i) manufacturers of, and dealers in, textiles; 

(ii) manufacturers of textile machinery; and 

(iii) such other persons as may be prescribed; 

(i)  advice  on  all  matters  relating  to  the  development  of  textile  industry  and  the  production  of 

textile machinery; 

(j) provide for such other matters as may be prescribed. 

(3) In the discharge of its functions, the Committee shall be bound by such directions as the Central 

Government may, for reasons to be stated in writing, give to it from time to time. 

5. Powers of the Committee.—The Committee may exercise all such powers as may be necessary or 

expedient for the purpose of carrying out its functions under this Act. 

1[5A.  Imposition  of  cess  on  textiles  and  textile  machinery  manufactured  in  India.—(1)  There 
shall be levied and collected as a cess for the purposes of this Act a duty of excise on all textiles and on 
all textile machinery manufactured in India at such rate, not exceeding one per cent. ad valorem as the 
Central Government may, by notification in the Official Gazette, fix: 

Provided  that  no  such  cess  shall  be  levied  on  textiles  manufactured  from  out  of  handloom  or        

powerloom industry. 

(2) The duty of excise levied under sub-section (1) shall be in addition to any cess or duty leviable on 

textiles or textile machinery under any other law for the time being in force. 

(3) The duty of excise levied under sub-section (1) shall be collected by the Committee, in accordance 
with  the  rules  made  in  this  behalf,  from  every  manufacturer  of  textiles  or  textile  machinery         
(hereinafter in this section and in sections 5C and 5D referred to as the manufacturer). 

(4)  The  manufacturer  shall  pay  to  the  Committee  the  amount  of  the  duty  of  excise  levied  under       

sub-section (1) within one month from the date on which he receives a notice of demand therefore from 
the Committee. 

(5) For the purpose of enabling the Committee to assess the amount of the duty of excise levied under 

sub-section (1),— 

(a) the Committee shall, by notification in the Gazette of India, fix the period in respect of which 

assessments shall be made; and 

(b) every manufacturer shall furnish to the Committee a return, not later than fifteen days after the 
expiry  of  the  period  to  which  the  return  relates,  specifying  the  total  quantity  of  textiles  or  textile 
machinery  manufactured  by  him  during  the  said  period  and  such  other  particulars  as  may                   
be prescribed. 

(6)  If  any  manufacturer  fails  to  furnish  the  return  referred  to  in  sub-section  (5)  within  the  time 
specified  therein,  or  furnishes  a  return  which  the  Committee  has  reason  to  believe  is  incorrect  or 
defective,  the  Committee  may  assess  the  amount  of  the  duty  of  excise  in  such  manner  as  may                   
be prescribed. 

(7)  Any  manufacturer  aggrieved  by  an  assessment  made  under  this  section  may  appeal  to  the 

Tribunal, constituted under section 5B for cancellation or modification of the assessment. 

5B.  Constitution  of  Tribunal.—The  Central  Government  may,  by  notification  in  the  Official 
Gazette, constitute a Tribunal consisting of one person, who is or has been, or is qualified for appointment 
as  a  Judge  of  a  High  Court  and  who  is  not  connected  with  the  Committee  to  exercise  the  powers  and 
discharge the functions conferred or imposed on the Tribunal by or under this Act. 

1. Ins. by Act 51 of 1973, s. 6 (w.e.f. 1-1-1975). 

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5C.  Hearing  of  appeals  by  Tribunal.—(1) An appeal under sub-section (7) of section 5A may be 
preferred to the Tribunal within one month from the date on which the notice of demand regarding the 
assessment is served on the manufacturer: 

Provided that  the Tribunal  may  admit  an  appeal  after  the  expiration  of  the  period  aforesaid, if  it  is 

satisfied that the appellant had sufficient cause for not preferring it within that period. 

(2) Every appeal referred to in sub-section (1) shall be in the prescribed form and shall be verified in 

the prescribed manner and shall be accompanied with such fees as may be prescribed. 

(3) The Tribunal shall fix a day and place for the hearing of the appeal and shall give notice of the 

same to the appellant and to the Committee. 

(4) The Tribunal may, after giving the appellant and the Committee an opportunity of being heard, 

pass such order thereon as it thinks fit: 

Provided  that  no  order  enhancing  the  assessment  shall  he  made  unless  the  appellant  has  had  a 

reasonable opportunity of showing cause against such enhancement. 

(5) The Tribunal shall send a copy of any order passed under this section to the appellant and to the 

Committee and such order shall be final. 

(6) In discharging the functions under this section, the Tribunal may, subject to any rules that may be 

made in this behalf, follow such procedure as it thinks fit. 

(7) The Tribunal shall have all the powers of a civil court while trying a suit under the Code of Civil 

Procedure, 1908 (5 of 1908), in respect of the following matters, namely:— 

(a) summoning and enforcing the attendance of any person and examining him on oath; 

(b) requiring the discovery and production of any documents; 

(c) receiving evidence on affidavits; 

(d) requisitioning any public record or copy thereof from any court or office; 

(e) issuing commissions for the examination of witnesses and documents; 

(f) any other matter which may be prescribed. 

(8) The expenses of the Tribunal shall be borne by the Central Government. 

5D.  Recovery  of  duty  of  excise.—If any manufacturer fails to pay the duty of excise levied under 
section  5A,  within  the  period  specified  in  sub-section  (4)  of  that  section,  or  where  an  appeal  has  been 
preferred by him against an order of  assessment under sub-section (7) of section 5A, within one month 
from the date of disposal of such appeal, the duty payable by him shall be recoverable as an arrear of land 
revenue. 

5E. Power to exempt.—If the Central Government is of opinion that in the interests of trade or in the 
public interest it is necessary so to do, it may, by notification in the Official Gazette, exempt such variety 
of textiles or such textiles machinery as may be specified in the notification from the whole or any part of 
the duty of excise leviable under section 5A. 

5F. Payment of proceeds of cess to the Committee.—The proceeds of the duty of excise collected 
under section 5A, reduced by the cost of collection as determined by the Central Government, shall first 
be  credited  to  the  Consolidated  Fund  of  India  and  the  Central  Government  may,  after  due  appropriate 
made by Parliament by law, pay to the Committee from out of such proceeds, such sums of money as it 
thinks fit for being utilised for the purposes of this Act.] 

6. Grants by Central Government to the Committee.—For the purpose of enabling the Committee 
to discharge its functions under this Act, the Central Government may, after due appropriation made by 
Parliament by law in this behalf, pay to the Committee in each financial year such sums of money as that 
Government considers necessary by way of grant, loan or otherwise. 

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7. Constitution of Fund.—(1) The Committee shall have a Fund to be called the Textiles Fund and 

there shall be credited thereto— 

(a) all moneys transferred to it under clause (a) of sub-section (2) of section 24; 
1[(aa) the proceeds of the duty of excise made over, to the committee by the Central Government 

under section 5F;] 

(b) all moneys paid by the Central Government under section 6; 

(c) all fees and other charges levied under this Act; 

(d) all moneys received by the Committee by way of grant, gift, donation, contribution, transfer 

or otherwise. 

(2) The moneys in the Fund shall be applied for— 

(a)  meeting  the  pay  and  allowances  of  the  officers  and  other  employees  of  the  Committee  and 

other administrative expenses of the Committee; 

(b) carrying out the purposes of this Act. 

(3)  All  moneys  in  the  Fund  shall  be  deposited  in  the  State  Bank  of  India  or  be  invested  in  such 

securities, as may be approved by the Central Government. 

8.  Standing  or  ad  hoc  Committee.—(1)  The  Committee  may  constitute  Standing  Committees  or    

ad hoc Committees for exercising any power or discharging any duty of the Committee or for inquiring 
into or reporting and advising on any matter which the Committee may refer to them. 

2[(2) A Standing Committee or an ad hoc Committee constituted under sub-section (1) may include 

persons  who  are  not  members  of  the  Committee,  but  their  number  shall  not  exceed  one                             
half of its strength.] 

9.  Officers  and  other  employees  of  the  Committee.—(1)  The  Central  Government  shall,  in 

consultation with the Committee, appoint a person to be the Secretary of the Committee. 

(2) Subject to such rules as may be made by the Central Government in this behalf, the Committee 
may appoint such other officers and employees as it considers necessary for the efficient performance of 
its functions. 

(3) The methods of appointment, the conditions of service and the scales of pay of the officers and 

other employees of the Committee shall,— 

(a) as respects the Secretary, be such as may be prescribed; and 

(b)  as  respect  the  other  officers  and  employees,  be  such  as  may  be  determined  by  regulations 

made by the Committee under this Act. 

10. Transfer of service of existing employees to the Committee.—Subject to the provisions of this 
Act, every person employed by the Cotton Textiles Fund Committee constituted under section 5 of the 
Cotton Textiles Fund Ordinance, 1944 (34 of 1944), immediately before the date of establishment of the 
Committee shall on and from such date, become an employee of the Committee with such designation as 
the Committee may determine and shall hold his office or service therein by the same tenure, at the same 
remuneration  and  upon  the  same  terms  and  conditions  as  he  would  have  held  on  such  date  if  the 
Committee had not been established and shall continue to do so unless and until his employment in the 
committee is terminated or until such tenure, remuneration and terms and conditions are duly altered by 
the Committee: 

Provided that the tenure, remuneration and terms and conditions of service of any  such person shall 

not be altered to his disadvantage without the previous approval of the Central Government. 

11.  Inspection.—(1) The Committee  may,  on  application  made  to  it  or  otherwise, direct  an  officer 
specially authorised in that behalf to examine the quality of textiles or the suitability of textile machinery 
for use at the time of manufacture or while in use in a textile mill and submit a report to the Committee, 

1. Ins. by Act 51 of 1973, s. 7 (w.e.f. 1-1-1975). 
2. Subs. by s. 8,  ibid.,  for sub-sections (2) and (3) (w.e.f. 1-1-1975). 

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(2) Subject to any rules made under this Act, such an officer shall have power to— 

(a)  inspect  any  operation  carried  on  in  connection  with  the  manufacture  of  textiles  or  textile 

machinery  in  relation  to  which  construction  particulars,  marks  or  inspection  standards  have            
been specified; 

(b) take samples  of any article or of any material or substance used in any article or process in 

relation to which construction particulars, marks or inspection standards have been specified; 

(c) exercise such other powers as may be prescribed. 

(3) On receipt of the report referred to in sub-section (1), the Committee may tender such advice, as it 

may deem fit, to the manufacturer of textiles, the manufacturer of textile machinery and the applicant. 

12. Levy of fees for inspection and examination.—(1) The Committee may levy such fees as may 

be prescribed— 

(a) for inspection and examination of textiles; 
1*                                    *                                *                                        *                                    * 
2 [(b)]  for  any  3 [special]  service  which  the  Committee  may  render  to  the  manufacturers                       

4[or exporters] of textiles and textile machinery: 
4[Provided that no fees shall be levied in respect of inspection and examination of textiles on which a 

duty of excise is leviable under this Act:] 

5 [Provided  further  that]  the  Central  Government  may,  by  notification  in  the  Official  Gazette, 

exempt  from the payment of fees, generally or in any particular case. 

(2) Any sum payable to the Committee under sub-section (1) may be recovered as an arrear of land 

revenue. 

13.  Accounts  and  audit.—(1)  The  Committee  shall  maintain  proper  accounts  and  other  relevant 
records and prepare an annual statement of accounts, including the balance-sheet, in accordance with such 
general directions as may be issued, and in such form as may be prescribed, by the Central Government in 
consultation with the Comptroller and Auditor-General of India. 

(2) The accounts of the Committee shall be audited annually by the Comptroller and Auditor-General 
of  India  and  any  expenditure  incurred  by  him  in  connection  with  such  audit  shall  be  payable  by  the 
Committee to the Comptroller and Auditor-General of India. 

(3)  The  Comptroller  and  Auditor-General  of  India  and  any  person  appointed  by  him  in  connection 
with the audit of the accounts of the Committee shall have the same rights and privileges and authority in 
connection with such audit as the Comptroller and Auditor-General of India has in connection with the 
audit of Government accounts, and, in particular, shall have the right to demand the production of books 
accounts,  connected  vouchers  and  other  documents  and  papers  and  to  inspect  any  of  the  offices  of  the 
Committee. 

(4) The accounts of the Committee as certified by the Comptroller and Auditor-General of India or 
any  other  person  appointed  by  him  in  this  behalf,  together  with  the  audit  report  thereon,  shall  be 
forwarded  annually  to  the  Central  Government  and  that  Government  shall  cause  the  same  to  be  laid 
before each House of Parliament. 

14. Delegation of powers and duties.—The Committee may, by general or special order in writing, 
direct that all or any of the powers or duties which may be exercised or discharged by it shall, in such 
circumstances  and  under  such  conditions,  if  any,  as  may  be  specified  in  its  order,  be  exercised  or 
discharged also by any officer or employee of the Committee specified in this behalf in the order. 

1. Clause (b) omitted by Act 51 of 1973, s. 9 (w.e.f. 1-1-1975). 

2. Clause (c) re-lettered as clause (b) thereof by s. 9, ibid.  (w.e.f. 1-1-1975). 

3. Subs. by s. 9, ibid. , for “other” (w.e.f. 1-1-1975). 

4. Ins. by s. 9, ibid. (w.e.f. 1-1-1975). 

5. Subs. by s. 9, ibid., for “Provided that” (w.e.f. 1-1-1975). 

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15.  Acts  or  proceedings  of  Committee  not  to  be  invalidated.—No  act  or  proceeding  of  the 

Committee shall be invalidated merely by reason of— 

(a) any vacancy, in, or any defect in the constitution of, the Committee; or 

(b) any defect in the appointment of a person acting as a member of the Committee; or 

(c) any irregularity in the procedure of the Committee not affecting the merits of the case. 

16. Officers and employees of the Committee to be public servants.—All officers and employees 
of the Committee shall, while acting or purporting to act in pursuance of the provisions of this Act or of 
any rule or regulation made thereunder, be deemed to be public servants within the meaning of section 21 
of the Indian Penal Code (45 of 1860). 

17.  Power 

to  prohibit  exports  and 

internal  marketing  of 

textiles  and 

textile               

machinery.—(1) Where the Committee has established, adopted or recognised standard specifications for 
textiles  either  for  internal  consumption  or  for  the  purposes  of  export  or  has  established,  adopted  or 
recognised  standard  type  of  textile  machinery  and  on  the recommendation  made  to it  in  this  behalf the 
Central  Government  is  of  opinion  that  any  textiles  or  textile  machinery  which  do  not  conform  to  the 
standards  laid  by  the  Committee  in  respect  thereof,  should  not  be  exported  or  sold  for  internal 
consumption  the  Central  Government  may,  by  order  published  in  the  Official  Gazette,  prohibit  such 
export or sale. 

(2) If any person contravenes any order issued under sub-section (1) prohibiting— 

(a) the export of any textiles or textile machinery, or 

(b) the sale of any textiles or textile machinery for internal consumption,  

he shall, on conviction, be punishable,— 

(i) for the first offence with imprisonment for a term which may extend to one year or with 

fine or with both; 

(ii) for the second or a subsequent offence with imprisonment for a term which may extend to 
one year and also with fine and in the absence of special and adequate reasons to be mentioned in 
the judgment of the court, such imprisonment shall not be less than three months. 

(3)  Any  court  trying  the  contravention  of  an  order  prohibiting  the  marketing  of  textiles  or  textile 
machinery under sub-section (1) may, without prejudice to the provisions of clause (b) of sub-section (2), 
direct  that  the  textiles  or  textile  machinery  in  respect  of  which  the  court  is  satisfied  that  such 
contravention has been committed, shall be forfeited to the Central Government. 

18. Offences by companies.—(1) If the person committing any offence under this Act is a company, 
every person who, at the time the offence was committed was in charge of, and was responsible to, the 
company  for  the  conduct  of  business  of  the  company,  as  well  as  the  company,  shall  be  deemed  to  be 
guilty of the offence and shall be liable to be proceeded against and punished accordingly: 

Provided  that  nothing  contained  in  this  sub-section  shall  render  any  such  person  liable  to  such 
punishment provided in this Act if he proves that the offence was committed without his knowledge or 
that he exercised all due diligence to prevent the commission of such offence. 

(2) Notwithstanding anything contained in sub-section (1), where an offence under this Act has been 
committed  by  a  company,  and  it  is  proved  that  the  offence  has  been  committed  with  the  consent  or 
connivance of, or is attributable to any negligence on the part of, any director, manager, secretary or other 
officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty 
of that offence and shall be liable to be proceeded against and punished accordingly. 

Explanation.—For the purposes of this section— 

(a)  “company”  means  a  body  corporate  and  includes  a  firm  or  other  association  of         

individuals; and 

(b) “director”, in relation to a firm, means a partner in the firm. 

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19. Procedure for prosecution.—No prosecution for any offence punishable under this Act shall be 

instituted except by or with the consent of the Central Government. 

20. Jurisdiction of courts.—No court inferior to that of a Presidency Magistrate or a Magistrate of 

the first class, shall try any offence punishable under this Act. 

21. Protection of action taken under the Act.—No suit, prosecution or other legal proceeding shall 
lie against the committee or any member, officer or employee of the Committee for anything which is in 
good  faith  done  or  intended  to  be  done  in  pursuance  of  this  Act  or  of  any  rule  or  regulation                  
made thereunder. 

22.  Power  to  make  rules.—(1) The Central Government may, subject to the condition of previous 

publication, by notification in the Official Gazette, make rules for carrying out the purposes of this Act. 

(2)  In  particular  and  without  prejudice  to  the  generality  of  the  foregoing  power  such  rules          

provide for— 

(a) the number of members and the composition of the Committee and the manner in which the 

members shall be chosen; 

(b)  the  term  of  offence  of  and  the  manner  of  filling  casual  vacancies  among  the  members  of        

the Committee; 

(c) the allowances, if any, payable to the members of the Committee; 

(d) the disqualification for membership of the Committee; 
1[(da) the manner in which the duty of excise leviable under section 5A may be assessed, paid or 
collected, and the manner in which any refund of such duty paid or collected in excess of the amount 
due may be made; 

(db) the conditions of service of the person constituting the Tribunal under section 5B; 

(dc)  the  form  and  the  manner  in  which  an  appeal  to  the  Tribunal  constituted  under  section  5B 
may be preferred and verified the fees payable on such appeals and the procedure to be followed by 
the Tribunal in disposing of such appeals;] 

(e) the scale of fees that may be levied 2*** under section 12; 

(f)  the  form  in  which  the  Committee  shall  prepare  its  annual  statement  of  accounts  and       

balance-sheet; 

(g) the method of appointment, the conditions of service and the scale of pay of the Secretary of 

the Committee; 

(h) the collection of any information or statistics in respect of textile industry and trade and the 

manufacture of textile machinery; 

(i) the mode of inspection by the Committee and the manner in which samples may be taken by it; 
 1[(j) any other matter which has to be, or may be, prescribed.] 

3[(3) Every rule made by the Central Government under this Act shall be laid, as soon as may be after 
it is made, before each House of Parliament, while it is in session for a total period of thirty days which 
may be comprised in one session or in two or more successive sessions, and if, before the expiry of the 
session  immediately  following  the  session  or  the  successive  sessions  aforesaid,  both  Houses  agree  in 
making any modification in the rule or both Houses agree that the rule should not be made, the rule shall, 
thereafter, have effect only in such modified form or be of no effect, as the case may be, so however that 
any such modification or annulment shall be without prejudice to the validity of anything previously done 
under that rule.] 

1. Ins. by Act 51 of 1973, s. 10 (w.e.f. 1-1-1975). 

2. The words “for inspection and examination” omitted by s. 10, ibid.  (w.e.f. 1-1-1975). 

3. Subs. by s. 10,  ibid., for sub-section (3) (w.e.f. 1-1-1975). 

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23. Power to make regulations.—(1) The Committee may, with the previous sanction of the Central 
Government, by notification in the Official Gazette, make regulations not inconsistent with this Act and 
the rules made thereunder to provide for all matters for which provision is necessary or expedient for the 
purpose of giving effect to the provisions of this Act. 

(2) In particular and without prejudice to the generality of the foregoing power, such regulations may 

provide for— 

(a) the meeting of the Committee, Standing Committees and ad hoc Committees, the quorum for 

such meetings and the conduct of business thereat; 

(b)  the  allowances  payable  to  the  members  of  the  Standing  Committees  or  the  ad  hoc 

Committees; 

(c)  the  methods  of  appointment,  the  conditions  of  service  and  the  scales  of  pay  of  the  officers 

(other than the Secretary) and other employees of the Committee; 

(d) the duties and conduct of officers and other employees of the Committee; and 

(e)  any  other  matter  in  respect  of  which  the  Committee  is  empowered  or  required  to  make 

regulations under this Act. 

(3) The Central Government may, by notification in the Official Gazette, amend, vary or rescind any 
regulation which it has sanctioned; and thereupon the regulation shall have effect accordingly, but without 
prejudice to the exercise of the powers of the Committee under sub-section (1). 

24. Repeal and Saving.—(1) With effect from the date on which the Committee is established under 

section 3, the Cotton Textiles Fund Ordinance, 1944 (34 of 1944), shall stand repealed.  

(2) Notwithstanding the repeal of the said Ordinance,— 

(a) all moneys at the credit of the Cotton Textiles Fund established under the repealed Ordinance 
immediately before the said date shall with effect from the said date stand transferred to and form part 
of the Textiles Fund referred to in section 7; 

(b) any rules made or deemed to have been made or anything done or any action taken in exercise 
of any of the powers conferred by or under the said Ordinance shall be deemed to have been made, 
done or taken in exercise of the powers conferred by or under this Act, as if this Act were in force on 
the day on which such rules were made, such thing was done or such action was taken. 

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